The results of a quarterly survey aiming at exploring key, topical business issues and measuring business and economic confidence suggests an optimistic outlook for the island’s economy.

The ’Isle of Man Pulse survey’, run by accountants KPMG and in association with the Institute of Directors, indicated increased off-island activity and increased turnover over the next year across all business sectors.

This is a welcome shift in trend to recent times, following difficult trading conditions during the continued pandemic.

Whilst there are still sectors which are depressed, such as retail and hospitality, there is no doubt the broader economy feels like it is turning the corner.

Other challenges still remain, such as changes to international tax policy and tackling effective Environmental, Social and Corporate Governance (ESG) strategies, and the survey responses offer a barometer reading on local feeling for these key board agenda items.

The Pulse report offers includes responses on topics such as business growth, turnover expectations, reactions to Manx border controls, tax policy and ESG plans.

Based on data received prior to the summer, the key highlights from the second survey include: 44% of Isle of Man businesses surveyed experienced increased off-island activity, compared to 26% in the last survey.

Across the island’s business sectors, many expect turnover to increase in the next 12 months despite feeling their business growth was constrained at the time of the survey.

In both of the surveys to date, 69% of respondents said they would not change the Isle of Man border policy, despite noting some trading difficulties.

The majority of businesses expressed concern that changes in international tax may impact the Isle of Man economy.

Manx businesses with an ESG plan in place are very much a minority.

Survey responses suggest a lack of knowledge and data is the reason for this.

Simon Nicholas, partner and head of clients and markets at KPMG, commented: ’At the time of the survey, some businesses were improving and prospering as Covid restrictions were eased, yet others indicated they were constrained by an inability to access clients due to the remaining restrictions and border policies that were still in place earlier in the summer.

’But, overall, there is an optimistic feel to the second survey. The combined results from the surveys so far are just starting to deliver some real trends and insights, and the power of the survey will only build with time as we collect more data.’

The report is freely available at home.kpmg/cds